Enterprise Products 8-K

PositiveEarningsGuidance

Higher pipeline and marine volumes, higher equity NGL value and stronger marketing margins drove record operating performance

Filed 2026-07-29 17:43 ET

Summary

Q2 2026 results, FY2026 capital-spending outlook and additional revolving credit capacity. Record operating performance reflected higher pipeline and marine volumes, increased value of equity NGL production, and stronger marketing volumes and margins. The partnership added $1.0B of revolving capacity to its existing $4.2B; FY2026 growth capital spending guidance is $2.9B-$3.4B, net of asset-sale proceeds.

Key Figures

Metric Q2 2026 Q2 2025 Y/Y
Revenue $18.3B $11.4B 60.8%
Operating income (GAAP) $2.25B $1.80B 25.3%
Total gross operating margin (non-GAAP) $2.99B $2.48B 20.8%
Net income attributable to common unitholders $1.84B $1.44B 28.2%
Diluted EPS $0.84 $0.66 27.3%
Net cash flow provided by operating activities (GAAP) $3.18B $2.06B 54.3%
Adjusted cash flow from operations (non-GAAP) $2.52B $2.11B 19.1%
Equivalent pipeline transportation volumes 14.7 MMBPD 13.6 MMBPD 8.3%
Total marine terminal volumes 2.77 MMBPD 2.08 MMBPD 33.2%
  • GAAP net income attributable to common unitholders of $1.84B was accompanied by record non-GAAP DCF of $2.32B and Operational DCF of $2.31B; Operational DCF provided 1.9x coverage of declared distributions, with $1.1B retained. GAAP operating cash flow was $3.18B alongside record non-GAAP Adjusted EBITDA of $2.83B and Adjusted FCF of $1.34B. Management cited volume growth, higher equity NGL value and stronger marketing volumes and margins.
  • Distributions declared were $0.56 per common unit ($2.24 annualized), up 2.8%. Repurchases were $159M in Q2 and $405M for the 12 months ended 6/30/2026; the $5.0B buyback program was 34% utilized. Average common units outstanding were 2.185B vs 2.190B Y/Y. Q2 capital investments were $1.17B, including $1.0B for growth projects and $140M for sustaining capital.
  • EPO added $1.0B of unsecured revolving capacity, guaranteed by the partnership, bringing stated available capacity to $5.2B. Borrowings bear variable interest, include a quarterly facility fee, and mature 3/26/2027; permitted uses include working capital, capital expenditures and acquisitions. Total debt principal outstanding at 6/30/2026 was $33.5B.

Guidance

Metric Period Guidance Prior Direction
Growth capital spending, net of $599M of asset-sale proceeds FY2026 $2.9B-$3.4B — —
Sustaining capital expenditures FY2026 $600M — —

Investor Takeaways

  • Watch for the Houston Ship Channel LPG export terminal expansion to begin operations by year-end 2026.
  • Track construction and expected start-up timing for the new gas processing plants: Plant 13 in Q3 2028 and Plant 11 in Q1 2029.
  • Monitor whether pipeline and marine terminal volume growth persists after marine terminal volumes returned to normal levels in June and July.

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